Defying conventional wisdom, report calls California a good place for business

Publication Date
Author
Allen Young
Source
Sacramento Business Journal

Contradicting an entrenched narrative that California is a bad place to start or expand a business, a new report sets out to make a case that the Golden State is a national leader in job creation.

The California New Business Creation study uses 2013 U.S. Census Bureau data to show that the state ranks fourth in the nation for job creation and fifth for the creation of new businesses. It comes from Next10, a San Francisco-based pro-renewable energy group, and Beacon Economics, a Los Angeles economic consulting firm.

Christopher Thornberg, co-author of the report and founding partner of Beacon Economics, has said the point of the study is not to argue that California regulatory policies couldn't be improved to help businesses grow. But rather that national economic data show a host of pluses that suggest California is an attractive place for entrepreneurs.

“While the state continues to face some of the same significant economic challenges facing the nation as a whole, overall it offers a solidly pro-business environment,” Thornberg said in a statement.

Next10 also launched a website with statistics to compare the business climate in all 50 states.